the key to the merger of Druni and Arenal

The final completion of the merger between Druni and Arenal will be completed after National Commission for Markets and Competition (CNMC) gave the go-ahead for the operation yesterday. With reservations, yes. The body thinks that the sunor there is an obstacle preventing the merger: the Druni store in Ponferrada.

In the middle of last year, it announced its intention to merge by creating joint venture between the Druni perfume chain, founded and controlled by a Valencian family. Casp– and Arenal, controlled as majority shareholder MC Sonaeparent company of a supermarket chain Continent.

This operation involves the creation of a joint company, 50% of the shares of which belong to the Casp family, as the owner of Druni, as well as MC Sonae and the remaining shareholders of Arenal. MC Sonae has committed to contribute its share of Arenal to the project, as well as significant additional investment.

Druni ended 2022 (latest data) with a turnover of over 575 million euros, up 35% on the previous year. benefit It reached 17 million, an increase of 45%. Arenal, in turn, improved its figures by 22%. turnover annually, to almost 200 million, and its profit amounted to 11 million, an increase of 72%.

Everything seems to indicate that there will be no problems with the implementation of this merger project after CNMC agreed to the terms yesterday. In its analysis, CNMC identified potential competition issues in some areas if the merger were accepted without any commitments.

The competition considers that this movement involves duplication in 17 municipalities, although it claims that only in Ponferrada it reaches a “high quota”, which would lead to a monopoly position.

To avoid a possible traffic jam, the partners agreed to sell the above-mentioned store. Ponferrada. In fact, the parties have already identified a potential buyer who must demonstrate a willingness to operate the premises for at least three years. “CNMC believes that the commitments made are sufficient to address the challenges that this concentration creates for competition in the affected sectors,” he concludes.

The sector is boiling

The agreement between Druni and Arenal joins other recent changes in the distribution sector and, especially, in the perfume sector.

The most striking case is the acquisition of a perfume chain. Clarel Colombian group Trinity To Day. The value of this transaction exceeds 42 million and involves the transfer of almost 1,000 stores in Spain and three distribution centers.

This year also saw the purchase of 100% of the Portuguese company. SkinLife from a premium Spanish perfume company. Isolate.

Another example of activity in the perfumery and cosmetics sector is a Spanish company Puchwhich debuted on the stock market last May, marking the biggest stock market debut this year. The Catalan company bills more than $4.3 billion a year to brands such as Carolina Herrera or Paco Rabanne.